At the End of the Year, a Company Made a Deferral

question 135

Multiple Choice

At the end of the year, a company made a deferral adjusting entry to recognize the expiration of prepaid insurance. Which of the following is true?

• A) Net profit margin ratio will decrease and debt-to-assets ratio will increase.
• B) Net profit margin ratio will increase and debt-to-assets ratio will not change.
• C) Net profit margin ratio will decrease and debt-to-assets ratio will not change.
• D) Net profit margin ratio will not change and debt-to-assets ratio will not change.

Evaluate contemporary theories and research on sexual orientation.

Understand the impact of cultural and social norms on sexual behavior and attitudes.

Understand the concept of monetary neutrality and its implications on real and nominal variables.

Recognize the effects of hyperinflation on the economy and governmental roles in instigating it.

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Definitions:

Electronically Linked

Connected or networked through electronic means, enabling communication or data transfer across devices or systems.

Differential Stress

A condition with unequal stresses from different directions.

Compression

The type of differential stress that occurs when forces push in on a rock.

Shear

The type of differential stress that occurs when stresses on the edge of a mass are applied in opposite directions.